The CDH Asset Management Limited, a member of the CDH Group, has launched its mutual fund, the CDH Balanced Fund with the aim of preserving and enhancing shareholder value.
The Fund is initially offering five million (5,000,000) shares to the public at GH¢0.10 per share in an offer that runs between April 13, 2015 and April 30, 2015.
Speaking at the launch, Mr. Seth Aryitey, Executive Director of CDH Asset Management, said the CDH Balanced Fund (CDH B-Fund), was a new investment product that seeks to create and enhance prosperity for persons of all income levels.
He said as an open-end mutual fund its main objective is to preserve and enhance shareholders’ wealth to meet their medium to long term financial goals as well as the short-term ones.
As a typical mutual fund, the CDH B-Fund is designed to allow investors to pool their investments. The funds accumulated will be divided in two equal proportions and invested in equity (shares) in publicly traded companies and fixed-income investments.
“The fund seeks to provide long term income and capital growth by producing returns commensurate with the risk levels based on careful attention to detail, extensive forward planning and rigorous portfolio selection,” he said.
The CDH B-Fund is opened to people of all income earning levels and a person needs to invest only GH¢20 to become a shareholder, followed by regular minimum monthly contribution of GH¢10.
“Our aim is to help you to prosper even if you have little money,” Mr Aryitey stated.
CDH B-Fund shareholders will enjoy threefold benefit: capital gains, dividends, and interest payments, while investors are assured that their funds will be invested with a high sense of security and safety.
Mr. Aryitey said though dividends and interest payments earned by the Fund’s investments will be reinvested in the Fund for greater returns, the fund is designed in a way that allows easy access to investors’ funds at their call.
“One of the best assurances in life is the confidence in knowing that your money is working for you; that your investment is under the sound management of the very best wealth advisors, who apply rare investment wisdom, experience and expertise, to ensure that you prosper,” said Emmanuel Adu-Sarkodee, Group Chief Executive Officer of CDH Financial Holdings.
Launching it, Mr. Adu Anane Antwi, Director-General of the Securities and Exchange Commission, said there had been strong growth in collective investment schemes over the years.
He said there are currently 45 schemes made up of 27 Mutual Funds and 18 Unit Trust schemes.
Mr. Anane said as at December 2014, the schemes pooled together GH¢494.6 million in investment up 36.5 per cent from GH¢362.5 million in 2013.
Mr. Antwi said the SEC is developing rules for mutual funds in the real estate sector to ensure sustainable level of funding to bridge the housing deficit gap.
He said the SEC is enhancing its education programmes to ensure a deeper understanding of the market and to encourage investments to speed up economic development.
By David Adadevoh